Galaxy CEO: Long-term holders are starting to adjust their asset allocation, and the diversification of holdings is putting short-term pressure on prices

Galaxy CEO Mike Novogratz posted on the X platform that the cryptocurrency market has been very sluggish recently. After a long bull market, many long-term holders are beginning to readjust their asset allocations, diversifying their investments and reducing concentrated positions. From a medium to long-term perspective, diversification of positions is beneficial for market development, but in the short term, it may put pressure on prices. At this stage, the crypto market has not reached cyclical highs. By the end of this year, the Federal Reserve may welcome a new chairman, whose stance is expected to be more dovish than what the market is accustomed to, and it is hoped that this could stimulate the next round of increases.